Both hoped to seal the final contract deal at the end of last month to meet the programmed restart of construction work in December.

But the Trust has revealed it has still not reached final agreement despite gaining Government approval for £350m of public funding to complete.

Revealing the delayed sign-off, Toby Lewis, Trust chief executive, said: “Work continues with Balfour Beatty to be ready to restart work on the Midland Metropolitan Hospital in December.

“We did not achieve our deal deadline of October 31st, and commercial close negotiation continues.”

But he said progress had been made with appointing a hard FM contractor for both the next hospital and existing facilities.

This will be awarded to Engie who are now preferred bidder.